Bonds, call rate down

The government bond (G-Sec) prices dropped further on sustained selling from banks and corporates and the overnight call money rate also finished lower due to lack of demand from borrowing banks amid ample liquidity in the banking system.
The 8.83 per cent 10-year benchmark bond maturing in 2023 fell to Rs 101.7050 from Rs 101.80, while its yield edged-up to 8.56 per cent from 8.55 previously.
The 8.28 per cent government security maturing in 2027 dipped to Rs 97.34 from Rs 97.48, while its yield moved-up to 8.62 per cent from Rs 8.60 per cent.
The 8.12 per cent government security maturing in 2020 declined to Rs 97.95 from Rs 98.03, while yield gained to 8.54 per cent from 8.52 per cent.

The 8.35 per cent government security maturing in 2022 also eased to Rs 98.73 as against Rs 98.84, while yield advanced to 8.57 per cent from 8.55 per cent.
The 8.24 per cent government security maturing in 2027, 7.28 per cent government security maturing in 2019 and 8.60 per cent government security maturing in 2028 were also quoted lower at Rs 97.09, Rs 95.47 and Rs 101.0950, respectively.
The overnight call money rates finished lower at 7.00 per cent from yesterday's level of 7.95 per cent. It moved in range of 8.50 per cent and 7.00 per cent.
Meanwhile, the Reserve Bank of India (RBI), under the Liquidity Adjustment Facility (LAF), purchased securities worth Rs 199.34 billion in 50-bids at the 1-day repo auction at a fixed rate of 8.00 per cent today morning, while it sold securities worth Rs 38.99 billion from 14-bids at the 1-day reverse repo auction at a fixed rate of 7.00 per cent last Friday.